Exercise of 5th CB Conversion Rights Leads to 2.35% Dilution... Remaining 961,420 Shares Convertible

Conversion Exercise: Holders of the 5th CB converted KRW 5.35 billion into 328,661 new shares, causing a 2.35% dilution relative to the total outstanding shares of 14,010,894.
Conversion Terms: The conversion price is KRW 16,278, which is 38% lower than the current stock price of KRW 26,550, providing a strong incentive for further conversions.
Remaining Balance: Unconverted CB principal stands at KRW 15.65 billion, convertible into 961,420 additional shares. Full conversion would increase total shares by approximately 15.3%.
Purpose: The 5th CB was originally issued to raise operating funds. The new shares from this conversion are expected to be listed on June 19, 2026.
Shareholder Impact: The low conversion price dilutes existing shareholders' stakes, but the current share price well above the conversion price is a positive sign. However, the remaining convertible balance poses a continued dilution risk.
[AI Comprehensive Analysis]The conversion is a routine step, limiting short-term impact, but the large remaining balance suggests potential further dilution. If the stock price stays above the conversion price, persistent conversion could create downward price pressure, warranting investor caution.